The invention relates to a system for providing analysis for financial assets and, more particularly, to a system for providing timely analysis and advice for financial assets.
Trading stocks, bonds, securities, commodities, and other liquidities has generally been done through brokers or traders who buy/sell on behalf of investors. Investors typically have had to rely upon the advice of traders or brokers in making investment decisions. Investors who wanted to invest for themselves, thereby avoiding paying broker fees, were usually faced with the need to gather financial news from the ever changing worldwide market. Further, gathering financial news from the wide spectrum of worldwide markets can be monotonous and time consuming. Moreover, investors were typically discouraged from doing so because there was a lack of information about how to efficiently engage in the process since brokers or traders would not provide investors with assistance, for that would mean cutting themselves out of the trading process and, therefore, their commission. Hence, investors traditionally used traders or brokers until the advent of on-line trading websites that facilitated the self-trading process for investors.
Trading stocks, bonds, securities, commodities, and other liquidities on the Internet provides a tremendous benefit to investors for it is more convenient and makes buying and selling easier for the investor. On-line trading sites also provide instructions and investment advice to help investors use the sites to buy/sell their assets without the need for traders or brokers.
Although on-line trading websites facilitate buying/selling financial assets, they often lack adequate investment decision making advice for the advice typically does not include an in-depth analysis of the viability of specific financial assets. Further, even if in-depth analysis is provided, the analysis generally does not cover most stocks. Moreover, the advice provided often is not timely for a significant amount of time generally lapses during the process of gathering information, compiling it, and posting it on the web site.
Traditional methods require time for evaluation by persons who must examine information and generate reports for investors. Such persons may further choose to evaluate assets of only large companies or for companies of interest at the evaluator""s discretion, not at the desirable investor""s discretion. Even if evaluations are made at an investor""s discretion, the time involved in documenting the evaluation and posting it for investors may detrimentally affect the value of the information.
Such inadequate and untimely and, therefore, unreliable investment advice can have detrimental consequences to investors. In addition to negatively affecting an investor""s decision making process regarding his current portfolio of financial assets, unreliable advice can also have unfavorable effects on his decisions to purchase prospective financial assets.
What is desired, therefore, is a system to provide in-depth analyses for a wide variety of financial assets. What is also desired is a system to provide timely commentary for financial assets. What is further desired is to provide a web page where the commentary automatically updates on a real time basis.
Accordingly, it is an object of the invention to automatically provide market commentary for all desirable financial assets on a web page.
Another object of the invention is to automatically provide timely updates to the market commentary on a real time basis.
These and other objects of the invention are achieved by a system for automatically providing market commentary relating to financial assets whereby the commentary is provided for substantially all financial assets. The system includes a computer, a database accessible by the computer and having stored thereon historical data relating to a financial asset, and software executing on the computer for automatically generating market commentary. The market commentary may, but not necessarily, include historical data, a feed of real time data, a measure of volatility of a financial asset, a measure of a financial asset""s historical performance, an analysis of a financial asset""s return in relation to its risk, and computed correlation coefficients and analysis of relationships between a financial asset and its market or market sectors.
The system may further include software for automatically updating the historical data, feed of real time data, the measure of volatility, the measure of a financial asset""s historical performance, the analysis of a financial asset""s return in relation to its risk, the computed correlation coefficients and analysis of relationships between a financial asset and its market or market sectors, and the market commentary on a real time basis.
The system may further provide the market commentary on a single web page and filter the retrieved historical and real time data in order to provide relevant information related to the desired financial asset.
In another embodiment, the system may include an indicator of a financial asset""s strength in addition to, or instead of, computed correlation coefficients and analysis of relationships between a financial asset and its market or market sectors. Thereafter, market commentary may include the indicator of the asset""s strength. This is desirable where an investor is more interested in market commentary having editorials and comments related to a financial asset""s strength.
In another embodiment, the system may include forecasts of a financial asset""s performance and confidence bands in addition to, or instead of, an indicator of an asset""s strength or correlation coefficients. Thereafter, market commentary may include the forecasts. This is desirable where an investor is more interested in market commentary having editorials and comments related to an asset""s predicted future performance and accuracy of such prediction.
In another embodiment, the system may include a determination as to whether or not a financial asset""s historical performance matches known, typical patterns in addition to, or instead of, an indicator of strength, correlation coefficient, or forecast. Thereafter, market commentary may include the determination as to the similarities between the asset and known patterns. This is desirable where an investor is more interested in the market commentary having editorials and comments related to an asset""s future performance based upon known models in the market.
In another aspect, the invention includes a method for automatically providing commentary relating to financial assets. The method includes providing a computer, storing historical data of a financial asset on a database accessible by the computer, retrieving the historical data, retrieving a feed of real time data relating to the financial asset, generating a measure of historical performance of a financial asset based upon the historical data, evaluating a rate of return of a financial asset based upon the historical data, analyzing a relationship between the asset and market, and automatically generating market commentary. The market commentary may, but not necessarily, be based upon the historical data, feed of real time data, a measure of volatility of a financial asset, a measure of a financial asset""s historical performance, an analysis of a financial asset""s return in relation to its risk, and computed correlation coefficients and analysis of relationships between a financial asset and its market or market sectors.
The method may further include automatically updating the historical data, feed of real time data, the measure of volatility, the measure of a financial asset""s historical performance, the analysis of a financial asset""s return in relation to its risk, the computed correlation coefficients and analysis of relationships between a financial asset and its market or market sectors, and the market commentary on a real time basis.
In another aspect, the method may include computing an indicator of a financial asset""s strength in addition to, or instead of, computing correlation coefficients and analysis of relationships between a financial asset and its market or market sectors. Thereafter, market commentary may include the indicator of the asset""s strength. This is desirable where an investor is more interested in market commentary having editorials and comments related to a financial asset""s strength.
In another aspect, the method may include forecasting of a financial asset""s performance and confidence bands in addition to, or instead of, computing an indicator of an asset""s strength or correlation coefficients. Thereafter, market commentary may include the forecasts. This is desirable where an investor is more interested in market commentary having editorials and comments related to an asset""s predicted future performance and accuracy of such prediction.
In another aspect, the method may include a determination as to whether or not a financial asset""s historical performance matches known, typical patterns in addition to, or instead of, an indicator of strength, correlation coefficient, or forecast. Thereafter, market commentary may include the determination as to the similarities between the asset and known patterns. This is desirable where an investor is more interested in the market commentary having editorials and comments related to an asset""s future performance based upon known models in the market.